Agenda Packets - 2005/08/22 - Laserfiche WebLink

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Item No. 8M Meeting Date: August 22, 2005 Type of Business: CB City of Mounds View Staff Report To: Honorable Mayor and City Council From: Kurt Ulrich, City Administrator Item Title/Subject: Resolution 6585 Approving a Severance Package for Regular Full-time Golf Course Employees Background: This item was previously reviewed by the City Council at the July 5th work session and the August 8th regular session. The consensus of the Council at that time was to allow payout of vacation and sick leave in accordance with current policy and to allow accumulated flextime to be used by employees prior to termination, or to pay out as a lump sum. Current flextime balances of golf course employees are being reviewed. No consensus was reached on whether there should be additional severance pay (e.g., one week per year of service) based on a lay-off situation. Currently, the City has no special severance pay provisions for economic lay-off situations and, as discussed by the Council, past practice (e.g., past Park and Recreation lay-offs) does not support such action. The golf course has three full-time employees who would be impacted by the sale and closure of the golf course; the Golf Course Manager, the Clubhouse Manager/Golf Instructor, and the Grounds/Equipment Manager. Discussion: The City flextime policy in regard to golf course employees reads: Except for Golf Course exempt status personnel, accrued Flex time balances will be reduced to forty hours on December 31 of each calendar year. Golf Course exempt status personnel must use accrued Flex time balances by March 1 of each calendar year or accrued Flex time balances will be reduced to forty hours. Upon an employee’s termination from the City, there will be no pay-out of Flex time accruals, either partial or total. If all the staff recommended severance pay was granted, the cost to the City would not exceed $54,000, based upon a most-cost scenario of each employee working until the end of the calendar year and having enough accrued flextime to last until March 1, 2006, which was typical in past years. The Medtronic project included the expense of $50,000 in the financial pro forma to cover this cost.